Which of the Following Statements Is False Regarding the Choice

question 210

Multiple Choice

Which of the following statements is false regarding the choice between alternative inventory costing methods?

• A)Each alternative method provides for the same amount of cost of goods available for sale to be allocated between ending inventory and cost of goods sold.
• B)In terms of current costs, FIFO presents a more realistic balance sheet; whereas LIFO presents a more realistic income statement.
• C)Companies sometimes choose FIFO because it is easier and less expensive to implement; whereas LIFO is often chosen for the tax benefits.
• D)Companies sometimes choose FIFO because it presents a more realistic income statement in terms of current market values.

Recognize the requirements for terminating an agent's apparent authority.

Distinguish between actual, implied, and express authority of an agent.

Understand the contractual liability implications for disclosed, partially disclosed, and undisclosed principals.

Identify the rules regarding the delegation of authority by an agent.

---

Definitions:

Marginal Utility

The additional satisfaction or utility gained from consuming one more unit of a good or service, which typically decreases with each additional unit consumed.

Total Utility

The total satisfaction or benefit received by consuming a specific quantity of a good or service.

Units of Utility

A measure of satisfaction or pleasure that a consumer receives from consuming a product or service.

Utility

In economics, a measure of satisfaction or happiness that a consumer derives from the consumption of goods and services.